Decision tool
What is my business worth?
A defensible valuation range built from market multiples and the qualitative drivers buyers actually price.
Estimated value range
$608,000 – $858,000
Midpoint $733,000 · SDE multiple 2.34x – 3.30x
What moves your value
Recurring revenue
30% recurring revenue is around or below category norms.
Management in place
Heavy owner involvement narrows the buyer pool and reduces the multiple.
Operating history
10 years of history reduces perceived risk.
This valuation is an educational estimate based on the figures you provide and generic market multiples. It is not a certified appraisal and is not financial, tax, legal or investment advice.
Common questions
- How are small businesses valued?
- Most owner-operated businesses are priced as a multiple of SDE (seller's discretionary earnings); larger ones use an EBITDA multiple. Typical SDE multiples run about 2x-4x depending on size, stability and how dependent the business is on the owner.
- What is SDE?
- Net profit plus the current owner's salary, personal expenses run through the business, interest, taxes, depreciation and amortisation. It is what a single full-time owner-operator could earn.
- What raises or lowers the multiple?
- Recurring revenue, customer diversity, documented systems and a manager in place push it up. Owner dependency, customer concentration, declining revenue and messy books pull it down.
- Is this estimate an appraisal?
- No. It is a defensible starting range for negotiation. A certified appraisal or lender valuation requires reviewed financials and a qualified professional.